bad bank

English - English

Definition of bad bank in English English dictionary

A bank created to specialize in the ownership of defaulted loans and their collection

Related Terms

bad banks

plural form of bad bank

Turkish pronunciation

bäd bängk

Synonyms

collection bank

Pronunciation

/ˈbad ˈbaɴɢk/ /ˈbæd ˈbæŋk/

Etymology

() Possibly derived from a usage by Walter Bagehot in Lombard Street: "The cardinal maxim is, that any aid to a present bad bank is the surest mode of preventing the establishment of a future good bank."